Project 2 – Capital Budgeting AnalysisThe ProjectYou are a financial analyst who reports to the CFO at a private university. Your manager hasasked you to determine if the Business School should launch an Online Executive MBAProgram. The program details follow:The program is slated to run for five years and then be re-evaluated. The program requires aninvestment in software that costs $2,500,000. The software will be purchased in year 0 anddepreciated straight line to zero over the 5-year program period. At the end of five years, it isassumed that the software will have a salvage value of $20,000. The online Executive MBAProgram will take students one year to complete. Tuition is $48,000 per student. Tuitionassistance in the form of scholarships and/or grant funding provided by the university is expectedto discount tuition expenses per student (tuition revenues per student to the university) at anaverage rate of 15%. Enrollment isexpected to be 35 students in the inaugural year (year 1) withgrowth of 20% expected each year. The program’s Net Working Capital requirements areestimated to be 6% of non-discounted tuition revenue with full recovery at the end of theprogram period. In addition, the university requires 5% of non-discounted tuition revenue to beincluded as allocated overhead charges. (Note: Allocated overhead will primarily covertechnical support to the program that is provided by the university’s central “Help Desk”. Totalfaculty and staff salaries for the program are estimated to be$300,000 in the inaugural year withgrowth of 3.5% expected each year. Launching the Online Executive MBA program is expectedto reduce revenues from the traditional MBA program by 10% each year. The most recentannual revenue from the traditional MBA program is $1,650,000. Historical revenue growth forthe traditional MBA program has been 5% per year. Assume the university’s tax rate = 0.30 andwacc = 10%.InstructionsDevelop a project analysis spreadsheet in Excel to determine Free Cash Flows (FCFs) for theOnline Executive MBA program anddetermine the Net Present Value (NPV). Based on youranalysis, draft a brief memo to the CFO that provides your recommendation on launching theprogram.What you are to submit to me by emailSubmit your memo to the CFO and the Excel workbook used to complete your analysis.
Why Choose Us
Top Writers4me provides the best top-grade academic writing services in compliance with our customers’ instructions. Have your paper written by a certified professional online college homework help writer to produce only high-quality essays with zero plagiarism.
Professional Academic Writers
You can now choose from a pool of online college homework help writers. Choose your writer and have them write the best content for you.Top Writers4me has, over the years, secured a team of the most reliable, experienced, and qualified writers. You can, therefore, trust that your assignment is in good hands.
We know that students have very limited budgets. And for that, we always strive to provide only the best, most affordable online college homework help services to our customers. Our goal is to provide top-quality assignment help services to all customers at the lowest, most affordable prices.
At Topwriters4me.com, we pay strict attention to deadlines. We recommend you to check out clients’ reviews for assurance that we will complete your assignments within the set deadlines. You can, therefore, trust that your paper will be done within and before the set deadline. Until now, we have not missed a single deadline.
Our Topwriters4me.com homework helper experts write only 100% original and plagiarism-free content for all of our clients. We also have a Quality Assurance Department team that goes through all work submitted by our writers multiple times. You can, therefore, rest assured that any signs of plagiarized or unoriginal content will be rejected before it reaches your portal.
Customer Support 24/7
Topwriters4me.com expert writers are always available 24/7 for customers who need assistance with using our website. You don’t have to check your watch the next time you want to have your assignment written. Our customer support is always available round the clock and ready to listen to your queries. Feel free to contact us via the Chat window or support email: firstname.lastname@example.org.
Try it now!
How it works?
Follow these simple steps to get your paper done
Place your order
Fill in the order form and provide all details of your assignment.
Proceed with the payment
Choose the payment system that suits you most.
Receive the final file
Once your paper is ready, we will email it to you.
For years now, Topwriters4me.com has stood as a leader in providing its customers with the best online college homework help service in the industry. And all you have to do is provide us with the details of your order. Leave everything else to us. We’ve always got you covered.
Since we launched, Topwriters4me.com deserved the best online “college homework help status” thanks to our essay ordering, writing, and delivery process. We deliver nothing but excellence in our results. Our essay writing services include impeccable grammar, zero-plagiarism, proper structure, and conformance to guidelines.
Admission and Business Papers
Our top-quality online college homework help services guarantee that you will be accepted into your desired university. You just need to fill out your admission and business papers, and our team of online homework help workers will handle the rest. We will help you achieve and secure the best positions in your admissions forms.
Editing and Proofreading
At Topwriters4me.com, we have a skilled writing and editing team that’s dedicated to creating, editing, and restructuring for all types of papers. Our online college homework help editing and proofreading team will check, paraphrase, and correct any grammar mistakes on your paper before submitting the final document to you.
At Topwriters4me.com, we pride ourselves in having writers in almost all fields, even the most technical ones. You never have to worry about your paper being too technical for our certified online college homework help writers to handle. Mycoursewriter's team of writers can handle even the most complex writers. We will match your paper to the most competent writer that we believe will handle your paper the best way possible.